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I'm also in your camp re: opinion of Microsoft--I personally think they're a solid company that people make ungrounded criticisms of, but most of their web plays have been failures. One thing I have to complement them for, though, is http://photosynth.net/
Deep down there so-called designers are only good at the easy part of build a web APPLICATION. They think a little fancy GUI is what web apps are all about and have close to zero understanding what it takes to develop rock solid web apps. That's why you see these guys producing some nightmare Flash content eating up the CPU to 100%, which hurts Flash's image. That's also why they don't have a clue how SilverLight trounces Flash from left to right in terms of being capable app framework.
The bad news for them: Future web apps demands a capable framework like SilverLight instead of a gimmicky Flash. Heck. Even in the rich media aspect where Flash is supposed to be stronger, SilverLight out-muscled Flash already as this NBCOlympics.com proved.